Fix-and-flippers are finding it challenging to find houses to flip in the best areas to invest in Philadelphia. Real estate investors say the market is too competitive and they can’t find deals in Grays Ferry, Fishtown or Point Breeze.
And we think it’s potentially going to get worse in 2020 before it gets better.
It’s easier to find houses in some other neighborhoods, but when you’re fixing and flipping to sell to investors, you have to find deals where they’re looking to buy. No doubt you’re already using some of these ways, but ask yourself if you’re doing all you can with these seven ways to find houses to flip in the best areas to invest in Philadelphia.
1. Do direct mail marketing consistently.
Knowing that some of the best areas to invest in Philadelphia have already been saturated with direct mail from wholesalers and rehabbers, many conclude it’s not worth doing. That’s not true. The challenge is to figure out how to stand out from the others. What can you say on your postcards that is different than your competitors and what can you do to grab their attention? Figure that out and mail consistently every month for at least six months and you will see results.
2. Drive for dollars.
Drive slowly through the best areas to invest in Philadelphia and look for those vacant homes that haven’t been scooped up yet. Make a list of 10, 20 or 50 properties. Go home and search Philadelphia property records for information. Send letters to all owners who could be interested.
3. Check with wholesalers.
Yes wholesalers are going to get a cut, but if you’re have trouble finding houses, it’s worth your time to sign up for the email lists of a few wholesalers and see if they’re finding any properties that would interest you at a price point that would work for you.
4. Get your personal network working for you.
Everyone in your family and all your friends, even everyone you attend church (temple or mosque) with, should know that you are looking to buy distressed houses for cash.
5. Attend your real estate investing club.
Keep attending and meeting new people in your real estate investing club. The more real estate investors you get to know the more likely you’ll be able to pass on deals to each other.
6. Look at eviction records.
Landlords who have to evict tenants are generally not having a good time with their rental properties. That makes it a great time for you to reach out to them and see if they’re interested in selling. Eviction records are available at the courthouse.
7. Bid on foreclosures.
After defaulting on a mortgage, the property will be foreclosed and then it goes to the courthouse steps. If you’re there at the right time, you can bid and scoop up some properties.
Summary
The truth is: what has worked for investors in the past will continue to work for investors… who are willing to put in the work. So, focus on all of these angles and you will find houses to flip in the best areas to invest in Philadelphia. Be relentless in the coming year and leave no stone unturned.